The Division of Transport and Logistics expects an increase in international shipping costs due to the Russian-Ukrainian war

Al-Samdouni: The Russian-Ukrainian war is devastating to the global economy and has limited effects on Egypt The price of operating fuel for ships 23% since the beginning of the year due to oil prices, in addition to the fact that cargo ships are subject to great pressure due to the economic sanctions imposed on Russia.

Al-Samdoni said that the war between Russia and Ukraine has prompted buyers of wheat, corn and sunflower oil to search for alternative shipments, which raises global food prices to their highest levels for many years, especially since Russia and Ukraine contribute about 76 % of world wheat exports, and 23 % of supplies corn in the world, and 80 % of sunflower oil exports, pointing out at the same time that the Egyptian government, as the largest importer of wheat in the world, was precautionary in this matter and always maintained sufficient balances to ensure consumption For a period ranging from 6 to 9 months, therefore, the flour for loaf of bread is safe It is well formed, according to the assurances of the Ministry of Supply.

As Samdoni expected, the Russian attack on Ukraine might add more pressures on semiconductor production, as Russia and Ukraine produce from
% to 80 % of neon gas used in laser devices that help design semiconductors, as Russia produces

% of the world’s production of palladium metal used in electronic wafers.

Al-Samdoni explained that the most affected also is the mining sector, especially that Ukraine is the fifth largest exporter of iron ore. globally, which may negatively affect the building and construction sector in Europe.

He indicated that some European countries will be affected by stopping dealing with the “SWIFT” system in Russia, because there are at least
A bank in Europe deals with “SWIFT”, and more than 23 a thousand banks around the world in 200 A country that deals with that system, pointing out that if European countries and the United States stop dealing with Russian products, and also prevent Russian shipping from passing through the waterways located in America and Europe, the This will negatively affect international trade, which started to recover slightly after the Corona pandemic. Russia and Ukraine in particular, as Russia has many products, not only oil and gas, but also manganese, mercury, barley, ammonia and potatoes, in addition to wheat. Of the world’s imports of wheat come from Russia.

Regarding the role that China can play as a major market that absorbs Russian exports and the role of international organizations, Samdouni said that in

the A meeting was held between the countries that believed that America would take a stand from them, and they gathered under the umbrella of the “BRICS” group, which consists of Brazil, South Africa, India, China and Russia, and these countries established a parallel bank to the International Monetary Fund and placed in it more than 150 billion dollars, indicating that China started two days ago to use those sums for trade with Russia.

The Secretary of the Transport and Logistics Division of the Cairo Chamber of Commerce confirmed, The Russian-Ukrainian war is devastating to the global economy, especially at the level of countries that import various products from Russia, especially wheat. Governments or others, as the Chamber indicated that Russian and Ukrainian seafarers constituted 20 5% of the workforce in the field of global shipping in the year 2021, with about 20 a thousand Russian sailors and more than 76 A thousand Ukrainian sailors.

Russian ships also closed the Kerch Strait, which connects the Black Sea and the Sea of ​​Azov, which means that no merchant ships will be able to pass.